The reserves stood at $1,45,277 million, a fall of $278 million, according to Reserve Bank of India's weekly statistical supplement released here on Saturday.
Foreign currency assets also decreased by $269 million, standing at $1,39,290 million, RBI said.
The fall in inflows is primarily due to revaluation of non-US foreign currencies such as Euro, Sterling and Yen, analysts said.
Gold reserves and Special Drawing Rights remained static at $4,535 million and $4 million respectively, it said. The country's reserve tranche position decreased by $9 million to $1,448 million, it said.
Loans to the state government decreased by Rs 1,715 crore (Rs 17.15 billion) to Rs 194 crore (Rs 1.94 billion), while loans to the central government showed nil balance, it said.
During the fortnight ended September 2, aggregate deposits rose by Rs 12,820 crore (Rs 128.2 billion) (0.7 per cent) to Rs 18,50,879 crore, (Rs 18508.70 billion) RBI said.
Demand deposits increased by Rs 2,145 crore (Rs 21.45 billion) to Rs 2,76,272 crore (Rs 2762.72 billion) while time deposits also rose by Rs 10,676 crore (Rs 106.76 billion) to Rs 15,74,607 crore (Rs 15746.07 billion).
Bank credit grew by Rs 9,801 crore (Rs 98.01 billion) (0.8 per cent) to Rs 12,10,750 crore (Rs 12107.50 billion).
While food credit declined by Rs 256 crore (Rs 2.56 billion) to Rs 40,071 crore (Rs 400.71 billion), non-food credit grew by Rs 10,057 crore (Rs 100.57 billion) to Rs 11,70,678 crore (Rs 11706.78 billion), it added.